Pocketbook concerns and even conflict abroad weigh on New Year’s Eve spending plans

With Christmas and Boxing Day in the rear-view mirror, consumers have one event left to take stock of how much they're willing to spend: New Year's Eve.

A Deloitte Canada study in October found that average household spending would fall 11 per cent year over year during the holidays due to persistent financial pressures.

Vivek Astvansh, a marketing professor at McGill University, says a range of reasons could make Canadians think twice about indulging in lavish celebrations, from pocketbook woes to COVID-19 concerns and even angst about armed conflict abroad.

He says ongoing inflation will likely convince many to opt for smaller, less expensive private gatherings, whereas those still inclined toward a bar or restaurant outing might choose a more affordable venue.